According to RP Data-Rismark Home Value Index, increases are recorded in home values across both capital city and regional markets in the month of November following the RBA’s decision to cut interest rates by 0.25 percentage points.

This may be a good point in time to make an appointment with one of our Brisbane mortgage brokers at Multi-Choice Home Loans to check your options in the home loan market. Our consultants will assist you with your queries and guide you through the maze of lending products from different banks and lenders.

On the subject of property values Rismark’s director, Christopher Joye, commented, “For Australia’s capital city and regional markets, this was the single best monthly result since December 2010, and bodes well for housing activity during the first quarter of 2012, which we project will rebound solidly. The best proxy for housing demand—the number of new home loans approved for purchasing established properties—has risen robustly every month since its lowest point in March.”

“The November result is consistent with our forecasts that Australia’s housing market will respond much more quickly to the RBA’s November and December cuts than many analysts expect. Over 90 per cent of all Australian home loans are fully variable rate, and lenders have passed on most of the 0.50 percentage points worth of RBA rate cuts during the final two months of the year. Borrowers can now get fixed-rate loans for around 5.9 per cent and discounted variable rate loans as low as 6.14 per cent. As Australia’s most interest rate sensitive sector, the housing market will be one of the biggest beneficiaries of the RBA’s generosity alongside consumer spending. We expect to see house prices rising again in 2012.”

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Two days after the RBA Board made its announcement ANZ Bank is the first major bank to pass on full 25 basis point rate cut has been delivered by one of the big four banks.

Click here to check on Multi-Choice Home Loans’ payment calculator what this rate cut means for you.

The banking giant today cut its variable home loan rate by 25 basis points, passing on in full this week’s cut to the official interest rate.
After a stand-off between the big banks ANZ has sent a strong message to the marketplace and puts pressure on its competitors to follow suit.
According to the ANZ, given the economic conditions facing consumers, all majors should look at passing on the full rate cut.
ANZ has also revealed today that it will review interest rates every month rather than wait for cues from the Reserve Bank.
Announcing the move, ANZ Australia chief executive Philip Chronican said the group would now review rates every month.
It will announce its decisions on the second Friday every month.

Heritage Building Society was one of the first smaller lenders to pass on the full rate cut, dropping their discount variable mortgage rate now to 6.35% from 6.60% and the standard variable mortgage rate to 6.94%, down from 7.19%. The reductions will be effective from 16 December.

An early Christmas gift for home loan owners and retailers in a bid to keep the Season ‘Festive’.

In the second consecutive month the RBA has cut the cash rate by 0.25% at its December board meeting today.

If the banks will pass on this cut to mortgage owners, it will save about $47 per month on the average home loan of $300 000.

This relief will be welcomed by families struggling with their repayments while juggling the rising cost of living.

You can contact your Multi-Choice Home Loans broker on 1300 36 36 99 to do a health check on your home loan and to see if you are currently getting the best home loan deal.

Even the best home loans are not very useful without good property. According to Michael Matusik we finally have some good news around the Queensland property market. The following article was written by Michael Matusik and appeared in The Courier Mail November 26-27 2011:
There’s no doubt that the Queensland housing market has been in the doldrums for some time now. And if you believe some of what has been written, we’re there to stay.
In fact, according to one economic blog that I read recently, Queensland’s most recent 30-odd-years of impressive growth will now be followed by a 100-year (yes, 100-year!) slump.
Fortunately, not everything that is written is true and sometimes it is necessary to delve further than attention-grabbing headlines to get the facts.
So today, in an attempt to keep things real, we take a brief look at the current state of the Queensland market.
There’s no argument that things have been better here. Our population growth is currently slowing and as a result, so too is our share of national housing starts and new dwelling sales.
One of the reasons for this slowdown is that Queensland is no longer as affordable as it once was.
About eight years ago, house prices started to climb above the local market’s capacity to pay.
In the early 2000s, Queensland households were paying just 25 per cent of their income towards the mortgage. Today, this is close to 40 per cent.
As a result, net interstate migration to the state began to drop and net arrivals to Queensland from elsewhere across Australia continue to slide.
Most people move to a place because they can get work. Our research confirms a close relationship between total migration to Queensland and the number of fulltime jobs.
And here is where the good news begins.
Queensland is starting to create full-time jobs again – a trend which should accelerate next year and beyond – which in turn will lead to higher levels of migration, stronger housing demand and eventually price (and rental) growth.
While we do have a three-speed economy, the overriding problem is that we are still recovering from the enormous hit of the January floods and Cyclone Yasi. The combined to batter confidence levels and cut production of coal, iron ore, copper and other minerals as well as many rural products.
More than $135 billion worth of resource-based projects planned to start over the next three years coupled with the flood rebuilding and the big infrastructure plans already in play across the southeast corner of the state, means the Queensland economy is set to start recovering from next year – a recovery that is likely to surprise many on the upside.
Another important piece of news is that the Queensland new housing market, unlike many other places across Australia, is not oversupplied. Queensland is, in fact, now facing an undersupply of new dwelling stock.
If our population growth escalates then we could see prices (and rents) start to climb again – and in earnest.

When the time comes to apply for a home loan, many people head straight to their bank, but be warned, you may be missing out on significant benefits if you bypass consulting a qualified mortgage broker.

There are countless reasons why it pays to use a broker when shopping for your home loan and if your heart is not set on using a particular lender, a broker can be your best friend. 

Even if you prefer to use your own bank for your mortgage, you can still use a mortgage broker to process paperwork and manage the application on your behalf.  

Here are five arguments as to why every borrower should seek out a qualified mortgage broker when applying for property finance:

 1. Choice

The first and biggest advantage of a broker over a bank is choice.
 When you sit in front of a Multi-Choice Home Loans broker you are sitting in front of 25+ banks and 300+ products versus visiting a banker who has access to only one bank’s products. This is especially important at time like now, when the banks are saying ‘no’ more often, and by having more choices you’re likely to get a ‘yes’.

 2. Experience

Ask your Bank lending manager how long they’ve been helping people with home loans. Our brokers are committed to their clients in the long term, and most have many years of industry experience. Banks are big companies; they move their staff around and reward good performers with promotions away from their customers.

3. Specialisation

If you’re looking for specialised assistance with your loan, it pays to talk to a home loan broker. For example if you’re starting to invest in property, talk to a broker who understands property investment. Bank staff often don’t have the training or experience in this area.

4. Save time and stress

Following up the progress of your loan application is time consuming and frustrating. A Multi-Choice Home Loans broker has a system for chasing up information required, keeping you informed and saving you time. They liaise with agents, lenders and solicitors on your behalf to ensure your loan settles on time.

 5. Personal Banker

Bank staff change often so even when you find a good personal banker they change jobs before you know it. However, your mortgage broker is like the perfect personal banker. They know what needs to be done, they make sure it happens, you are the core of their business, and they’re in for the long haul.